A refugee is a person who has been formally granted refugee status, having fled persecution or conflict in their home country. Unlike an asylum seeker, whose application is still pending, a refugee has a recognised status and the right to work.
What it means
Once refugee status is granted, the person is generally treated for tax much like a natural person, and is issued documentation that allows employment and a tax number. This is a different situation from an asylum seeker, who is still awaiting a decision, and the distinction matters for the correct nature-of-person classification.
Where it fits in
Refugee status feeds the employee's nature-of-person setup, which sets their tax treatment. Getting the asylum-seeker versus refugee distinction right matters, because the two carry different classifications even though both involve people who have fled to South Africa.
Key rules
- A person granted recognised refugee status, with the right to work.
- Taxed broadly as a natural person.
- Distinct from an asylum seeker, whose status is still pending.
- Classified under the appropriate nature-of-person code.
